Lithuania revised the commentary to Corporate Profit Tax Law article 55 on August 10, 2026, addressing the calculation of tax losses carried forward and the treatment of restructuring expenses. The change provides clearer guidance for corporate restructuring and merger & acquisition transactions.
Key Takeaways
- Loss Carry-Forward Rules: Clarified maximum carry-forward period of five years and limitation on offsetting against certain income types.
- Restructuring Expenses: Specific allowability criteria for expenses related to business reorganizations and divestitures.
- M&A Transaction Guidance: Treatment of goodwill and contingent consideration in tax loss calculations.
Disclaimer:This article is compiled and summarized based on publicly available information and is for general information and academic exchange purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. For tax planning, please consult a qualified professional tax advisor or legal counsel.
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